All Forum Posts by: Robert Webb

Hey Chris!

congrats in getting your first place in review!

my thoughts:

1. Seller needs to get the green card plain and simple, assuming its market value. If you are getting an insane deal than, idk maybe not, but truthfully they should have been maintaining their green card under the law so they should get it. I am not super educated in the green card knowledge market but anytime I've sold a 3 or 4 plex the seller has provided it no questions

2. If he is not a professional landlord just a small mom and pop. He may not have this info, that wouldnt surprise me. If the numbers make sense, I wouldnt see this as a deal breaker, but i would probably budget some money in case you have to deal with immediate turn over or evictions, plan for the worst and hope for the best. If the tenants dont pay rent you can file for eviction and get your own tenants in there anyway.

3. You have a right to inspect the property, sonic he isnt cooperating that is an issue. But maybe talk to them. they may be having trouble w the tenants confirming (which could be another red flag) but also. are you in review or are you under contract? Inspection period starts from once AR concludes and you go under contract (typically at least in nj)

Hope this helps. Best of luck! 

Robert Webb

Hey Luke,

Just wanted to let you know that you posed in the New Jersey forums, wasn't sure if you saw or not but you will have better luck with your question in the GA forums.

Best of luck!

Robert Webb

@Mark F. got to love bureaucracy :)

I know in one of the towns I am nearby and looking to buy a duplex in, it has a basement unit and the township told the current owner (so I would def fact check it when we go to move forward) that you as the owner can live in the basement and rent out the upstairs without issues needing a 3 family zoning, something to look into if you have interest in that type or arrangement of your place.

Hey @Gregory Fazio,

I used Bob McNally in Somerville all the time - he is one of the partners there. I dont think we are supposed to give out info on the fourms but feel free to PM me. He is who I also use for my real estate and personal business.

Unfortunately, I am looking for a great CPA as well, I use a guy up in Basking Ridge right now, but plan to switch probably after next year. That being said, I would seek a Tax Strategist, someone who can help you on a plan to shelter money from taxes. I recently found two in an article I read. I plan to reach out to them both as that is what I am looking to do moving forward, again probably next year for me personally.

Hope this helps, best of luck, Im in Somerset as well

Robert Webb

Hey @Mark F. congrats on getting your offer accepted!

Its awesome they area leaving on their own and its a natural step for you to move into it.

My opinion - I would not combine the first floor and the basement unit. You are going to be able to get considerable more rent for having the units separate in the future than combining them (my area I would be able to get around 1700 for the 2/1 and 1300 for the 1/1 roughly as opposed to getting 2300 for the 3/2) - now if you want to do it for your lifestyle while you are living there, then that has its own value that is much harder to determine.

Best of luck!

Robert Webb

PS - its a huge deal, dont down play it - you're awesome for taking action!

I havent looked into investing out of my area yet so none from personal experience. I would recommend looking in the broader forms with it though, since the New Jersey forms and discussion are going to filter out so many smart people around the country that can also answer your questions.

And I'd you aren't already, listening to the bigger pockets podcast leads some some crazy valuable information and a diverse set of opinions and options

I would probably start with David Green's book on long distance realbestage investment on the bigger pockets bookstore and listing to his podcasts.

he talks about identifying a market and building your team there.

Hope this helps, best of luck!

Robert Webb

@Brett Baginski hey! congrats on your place.

Correct, flat out refusing section 8 is illegal. But any property can become a section 8 approved property. A sec 8 inspection would indeed be required if you decide to a lease to a sec 8 tenant

But I agree with @Justin McElroy that most sec 8 tenants won't meet minimum standards that most landlords (esp first time landlords) set. So for me, I required a credit score minimum of 675 for my first tenant. 

We also use an NTN application to check an assortment of other background checks, including prior evictions which saved me last year. And make sure to google and facebook applicants as well, I found one w/ multiple arrests on Google.

As for sec 8, I would count it out altogether. I ended up renting this year to a sec 8 tenant, and so far she has been great - she has paid early every month, paid on time for utilities (billed to me through the township and then reimbursed by tenant) and the govt cuts their check on the 1st of the month. She came in with pretty good credit too and she had her own side hustle business, so it was a good fit for me.

Best of luck w/ your property man!

Robert Webb

Hey Jay!

Hope all is well. I am an agent in NJ and thought I might be able to shed some light on your question.

I wouldn't be worried so much about asking an agent to go all over. I currently work in Somerset County but I travel to about 6 other counties too. Most agents needs to have a decent sized area to provide great service.

But I would implore you to take two things into consideration (that I appreciate when my clients have them or I try to narrow down when I first meet someone)

1. Know what you are looking for. Specifically. I know you said a duplex, but that is still broad. Whereas if you say a Duplex with at least 2 beds in each between 300 and 400k in these counties and it has to be close to a train, is an example of something much more specific that an agent isn't going to mind going aroun to multiple counties because they know exactly what fits your criteria and if /when they find it, they know they have a good chance of making it worth your while and theirs.

2. Be loyal. I have had people ask me to go all over God's Green Earth and then flake on me, which leads me to having to protect my time too. So if you are not messing well with the agent you find, be up front with them and tell them why its not working (maybe give them a chance to fix it) otherwise, tell them its over and make the break clean. 

Loyal clients get above and beyond service (or at least they should from the right agent) 

Don't feel bad about asking them to cover a large area, that's their job, just don't waste their time and I think the two above points can help with that.

Good luck in your search! Somerville, NJ is up and coming and produces a fair amount of duplexs a year. That is where I am looking to buy my first duplex once I finish my current BRRRR and the next flip I have lined up (looking at it today!)

Robert Webb

Somerset 08873 in Somerset County :)